Bill Text: NJ A1851 | 2024-2025 | Regular Session | Introduced
Bill Title: Prohibits sale and use of gas-powered lawn equipment in NJ; provides CBT and gross income tax credits for purchase of certain zero-emission lawn equipment.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced) 2024-01-09 - Introduced, Referred to Assembly Environment, Natural Resources, and Solid Waste Committee [A1851 Detail]
Download: New_Jersey-2024-A1851-Introduced.html
STATE OF NEW JERSEY
221st LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION
Sponsored by:
Assemblyman HERB CONAWAY, JR.
District 7 (Burlington)
SYNOPSIS
Prohibits sale and use of gas-powered lawn equipment in NJ; provides CBT and gross income tax credits for purchase of certain zero-emission lawn equipment.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning gas-powered lawn equipment and supplementing Title 26 and Title 54 of the Revised Statutes, and Title 54A of the New Jersey Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. Beginning three years after the effective date of this section, no person shall sell, offer for sale, or distribute within the State any gas-powered lawn equipment for use or operation in the State.
b. Beginning five years after the effective date of this section, no person shall use or operate gas-powered lawn equipment in the State.
c. Any person who violates the provisions of subsection a. or b. of this section shall be subject to a civil penalty of not less than $500 nor more than $1,000 for each offense. State and local law enforcement shall have exclusive authority to enforce this section and the penalty imposed shall be collected and enforced by summary proceedings under the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). If the violation is of a continuing nature, each day during which the violation continues shall constitute an additional, separate, and distinct offense. The Superior Court and the municipal court shall have jurisdiction of proceedings for the enforcement of the penalty provided by this section. Any penalty recovered under this section shall be retained by the enforcing government entity.
d. No later than three years after the effective date of this section, the Department of Environmental Protection shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations, consistent with federal law, as necessary to implement the requirements of this section and a finding to determine if an extension of the timeframe of a prohibition in subsection a. or subsection b. of this section is necessary pursuant to subsection e. of this section.
e. The Department of Environmental Protection may extend the timeframe of a prohibition in subsection a. or b. of this section for an additional period not to exceed one year upon a finding made pursuant to subsection f. of this section and adopted pursuant to subsection d. of this section, that it is not cost-effective or technologically feasible to prohibit the sale or use of gas-powered lawn equipment within the timeframe required pursuant to this section. An extension pursuant to this subsection shall expire after one year unless the Department of Environmental Protection determines another extension is necessary pursuant to this subsection.
f. In determining whether to extend the timeframe of a prohibition in subsection a. or b. of this section, the Department of Environmental Protection shall consider the following factors in determining if the prohibition is cost-effective or technologically feasible:
(1) total emissions from gas-powered lawn equipment within the State;
(2) expected timelines for zero-emission lawn equipment development;
(3) increased electricity demand from added charging requirements from zero-emission lawn equipment;
(4) demand and usage of lawn equipment by both commercial and residential lawn and garden users; and
(5) expected availability and affordability of zero-emission lawn equipment.
g. As used in this section:
"Gas-powered lawn equipment" means lawn equipment that has a two-stroke or four-stroke engine and uses gasoline or a gasoline and oil blend as fuel.
"Lawn equipment" means any mechanically powered equipment or device that is used for, or intended to be used for, the mowing of grass, the cutting or chipping of trees, tree roots, or tree branches, or the clearing of leaves or other vegetation from lawns, sidewalks, public streets or public highways. "Lawn equipment" shall include, but not be limited to, lawn mowers and lawn mower attachments, lawn edgers, leaf blowers, leaf vacuums, mulchers, chippers, pruners, trimmers, chainsaws, power washers, and snow blowers.
"Zero-emission lawn equipment" means lawn equipment that is powered by a battery, fuel cell, or other means of energy production that does not result in the emission of carbon dioxide.
2. a. For privilege periods beginning on or after January 1 next following the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), and for the next five taxable years thereafter, a taxpayer who purchases certain zero-emission lawn equipment shall be allowed a credit against the tax imposed pursuant to section 5 of P.L.1945, c.162 (C.54:10A-5), to be calculated as provided in subsection b. of this subsection, to compensate the taxpayer for certain costs incurred in the purchase of the zero-emission lawn equipment.
b. The amount of credit allowed to a taxpayer pursuant to this section shall be as follows:
(1) for the purchase of an electric-powered trimmer, pruner, leaf blower, or power washer, 25 percent of the cost of the zero-emission lawn equipment device or $50, whichever is less;
(2) for the purchase of an electric-powered chainsaw, 25 percent of the cost of the zero-emission lawn equipment device or $100, whichever is less; and
(3) for the purchase of an electric-powered walk behind lawn mower or snow blower, 25 percent of the cost of the zero-emission lawn equipment device or $150, whichever is less.
c. To qualify for the tax credit allowed pursuant to this section, a taxpayer shall apply to the department for a certification that provides: (1) that the lawn equipment device purchased by the taxpayer is a zero-emission lawn equipment device and is eligible for the tax credit; and (2) the amount of the tax credit calculated pursuant to subsection b. of this section. The application to the department shall demonstrate that the zero-emission lawn equipment device was purchased prior to applying for the tax credit provided in this section. The application shall include a receipt demonstrating the cost of the zero-emission lawn equipment device and any other information determined relevant by the department. Upon certification, the department shall submit a copy thereof to the taxpayer and the director.
d. The director shall prescribe the order of priority of the application of the tax credit allowed pursuant to this section, and any other credits allowed against the tax imposed pursuant to section 5 of P.L.1945, c.162 (C.54:10A-5) for a privilege period. The amount of the credit applied pursuant to this section against the tax imposed pursuant to section 5 of P.L.1945, c.162 (C.54:10A-5) shall not reduce a taxpayer's tax liability to an amount less than the statutory minimum provided in subsection (e) of section 5 of P.L.1945, c.162 (C.54:10A-5). The amount of the tax credit otherwise allowable under this section which cannot be applied for the privilege period due to the limitations of this subsection or under other provisions of P.L.1945, c.162 (C.54:10A-1 et seq.) may be carried forward, if necessary, to the seven privilege periods following the privilege period for which the tax credit was allowed.
e. The value of tax credits provided over the five taxable years by the director pursuant to this section and pursuant to section 3 of this act shall not exceed a cumulative total of $500,000.
f. The department, in consultation with the director, shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations as are necessary to implement the provisions of this section.
g. No later than four years after the effective date of the tax credits provided pursuant to this section, the department shall prepare and submit to the Governor, the State Treasurer, and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, a report that, at a minimum, summarizes the effectiveness of the tax credit in incentivizing the purchase of zero-emission lawn equipment and provides recommendations for whether or not the tax credit should be extended.
h. As used in this section:
"Department" means the Department of Environmental Protection.
"Director" means Director of the Division of Taxation in the Department of the Treasury.
"Lawn equipment" means the same as the term is defined in section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill).
"Zero-emission lawn equipment" means the same as the term is defined in section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill).
3. a. For privilege periods beginning on or after January 1 next following the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), and for the next five taxable years thereafter, a taxpayer who purchases certain zero-emission lawn equipment shall be allowed a credit against the tax otherwise due for the taxable year under the "New Jersey Gross Income Tax Act" (N.J.S.54A:1-1 et seq.), to be calculated as provided in subsection b. of this section, to compensate the taxpayer for certain costs incurred in the purchase of the zero-emission lawn equipment.
b. The amount of credit allowed to a taxpayer pursuant to this section shall be as follows:
(1) for the purchase of an electric-powered trimmer, pruner, leaf blower, or power washer, 25 percent of the cost of the zero-emission lawn equipment device or $50, whichever is less;
(2) for the purchase of an electric-powered chainsaw, 25 percent of the cost of the zero-emission lawn equipment device or $100, whichever is less; and
(3) for the purchase of an electric-powered walk behind lawn mower or snow blower, 25 percent of the cost of the zero-emission lawn equipment device or $150, whichever is less.
c. To qualify for the tax credit allowed pursuant to this section, a taxpayer shall apply to the department for a certification that provides: (1) that the lawn equipment device purchased by the taxpayer is a zero-emission lawn equipment device and is eligible for the tax credit; and (2) the amount of the tax credit calculated pursuant to subsection b. of this section. The application to the department shall demonstrate that the zero-emission lawn equipment device was purchased prior to applying for the tax credit provided in this section. The application shall include a receipt demonstrating the cost of the zero-emission lawn equipment device and any other information determined relevant by the department. Upon certification, the department shall submit a copy thereof to the taxpayer and the director.
d. The order of priority of the application of the credit allowed pursuant to this section, and any other credits allowed against the tax imposed pursuant to N.J.S.54A:1-1 et seq. for a taxable year, shall be as prescribed by the director. The amount of the credit applied under this section against the New Jersey gross income tax imposed pursuant to N.J.S.54A:1-1 et seq. for a taxable year, when taken together with any other payments, credits, deductions, and adjustments allowed by law, shall not reduce a taxpayer's tax liability to an amount less than zero. The amount of the tax credit otherwise allowable under this section which cannot be applied for the taxable year due to the limitations of this section or other provisions of N.J.S.54A:1-1 et seq. may be carried forward, if necessary, to the seven taxable years following the taxable year for which the tax credit was allowed.
e. The value of tax credits provided over the five taxable years by the director pursuant to this section and pursuant to section 2 of this act shall not exceed a cumulative total of $500,000.
f. The department, in consultation with the director, shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations as are necessary to implement the provisions of this section.
g. No later than four years after the effective date of the tax credits provided pursuant to this act, the department shall prepare and submit to the Governor, the State Treasurer, and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, a report that, at a minimum, summarizes the effectiveness of the tax credit in incentivizing the purchase of zero-emission lawn equipment and provides recommendations for whether or not the tax credit should be extended.
h. As used in this section:
"Department" means the Department of Environmental Protection.
"Director" means Director of the Division of Taxation in the Department of the Treasury.
"Lawn equipment" means the same as the term is defined in section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill).
"Zero-emission lawn equipment" means the same as the term is defined in section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill).
4. This act shall take effect immediately.
STATEMENT
This bill would prohibit, beginning three years after the bill's effective date, the sale or distribution of gas-powered lawn equipment within the State for use or operation in New Jersey. The bill would also prohibit, beginning five years after the bill's effective date, the use of gas-powered lawn equipment within the State. The bill would authorize the Department of Environmental Protection (DEP) to extend the timeframe of the prohibitions established by the bill if it finds that prohibiting the sale or use of the equipment is not cost-effective or technologically feasible.
As defined in the bill, "lawn equipment" means any mechanically powered equipment or device that is used for, or intended to be used for, the mowing of grass, the cutting or chipping of trees, tree roots, or tree branches, or the clearing of leaves or other vegetation from lawns, sidewalks, public streets or public highways. Under the bill, "lawn equipment" would include, but not be limited to, lawn mowers and lawn mower attachments, lawn edgers, leaf blowers, leaf vacuums, mulchers, chippers, pruners, trimmers, chainsaws, power washers, and snow blowers. As defined in the bill, "gas-powered lawn equipment" means lawn equipment that has a two-stroke or four-stroke engine and uses gasoline or a gasoline and oil blend as fuel and "zero-emission lawn equipment" means lawn equipment that is powered by a battery, fuel cell, or other means of energy production that does not result in the emission of carbon dioxide.
Any person who violates the bill's provisions would be subject to a civil penalty of not less than $500 nor more than $1,000 for each offense. In the case of a continuing violation, each day during which the violation continues would constitute an additional, separate, and distinct offense. The bill authorizes State and local law enforcement agencies to have the exclusive authority of enforcing the bill's provisions. The bill also incentivizes the enforcement of the bill's provisions by permitting any penalty recovered to be retained by the enforcing government entity.
The bill would allow the DEP to extend the timeframe of any prohibitions provided for in the bill for additional periods not to exceed one year upon a finding, adopted by rule or regulation, that it is not cost-effective or technologically feasible to prohibit the sale or use of gas-powered lawn equipment within the timeframe required pursuant to the bill's provisions. An extension would expire after one year unless the DEP determines another extension is necessary.
The bill would require the DEP to adopt, no later than three years after the bill's effective date, rules and regulations, consistent with federal law, as necessary to implement the bill's provisions. The bill would require the DEP to consider the following when determining cost-effectiveness or technological feasibility:
(1) total emissions from gas-powered lawn equipment within the State;
(2) expected timelines for zero-emission lawn equipment development;
(3) increased electricity demand from added charging requirements from zero-emission lawn equipment;
(4) demand and usage of lawn equipment by both commercial and residential lawn and garden users; and
(5) expected availability and affordability of zero-emission lawn equipment.
The bill would also provide a tax credit under the corporation business tax and the gross income tax for certain costs incurred in the purchase of zero-emission lawn equipment. The tax credit would be made available for a period of five years.
Specifically, the amount of credit allowed to a taxpayer pursuant to the bill would be as follows: (1) for the purchase of an electric-powered trimmer, pruner, leaf blower, or power washer, 25 percent of the cost of the zero-emission lawn equipment device or $50, whichever is less; (2) for the purchase of an electric-powered chainsaw, 25 percent of the cost of the zero-emission lawn equipment device or $100, whichever is less; and (3) for the purchase of an electric-powered walk behind lawn mower or snow blower, 25 percent of the cost of the zero-emission lawn equipment device or $150, whichever is less.
To qualify for a credit under the bill, a taxpayer would be required to apply to the DEP for a certification that provides: (1) that the lawn equipment device purchased by the taxpayer is a zero-emission lawn equipment device and is eligible for the tax credit; and (2) the amount of the tax credit. The bill would require the DEP, in consultation with the Director of the Division of Taxation, to adopt rules and regulations as are necessary to implement the bill's provisions. The bill would also limit the cumulative total of tax credits awarded pursuant to the bill to $500,000.
Finally, the bill would require, no later than four years after the effective of the tax credits provided pursuant to the bill, the DEP to prepare and submit to the Governor, the State Treasurer, and the Legislature a report that, at a minimum, summarizes the effectiveness of the tax credit in incentivizing the purchase of zero-emission lawn equipment and provides recommendations for whether or not the tax credit should be extended.
Gas-powered lawn equipment emits high levels of air pollutants, including but not limited to, carbon monoxide, nitrous oxides, hydrocarbons, unburnt gasoline, and fine particulate matter. The emissions from certain gas-powered lawn equipment contribute to the formation of ozone, smog, and acid rain and can even exceed the emissions from vehicles used for the same time amount of time.
In addition to environmental consequences, gas-powered lawn equipment is also associated with certain adverse health effects including heart and lung disease. Certain gas-powered lawn equipment, including leaf blowers, are also associated with occupational health concerns. For example, gas-powered leaf blowers generate noise at a decibel level capable of causing hearing loss in a short amount of time.
There are affordable
alternatives to certain gas-powered lawn
equipment that are less polluting and safer to operate. Technology is also
advancing to develop zero-emission equivalents to all gas-powered lawn
equipment. The bill's phase-in of its provisions would also provide time for
zero-emission lawn equipment technology to improve prior to the bill's
prohibitions on the sale and use of gas-powered lawn equipment taking effect.
